SIOS Corp

SIOS Corp maintains a strong liquidity position, with cash and equivalents amounting to ¥2.71 billion, representing 29.3% of total assets. The company's liquidity FPT (free cash flow to total debt) is robust, with a debt-to-equity ratio of 0.14 and a current ratio of 1.09, indicating a solid short-term liquidity buffer.

Profitability metrics show a mixed picture. The company's return on equity (ROE) is 3.21%, which is below the median for the Software industry, while its return on assets (ROA) is 0.42%, also lagging behind the industry average. Gross profit of ¥1.33 billion represents 20.7% of revenue, but operating income of ¥60.77 million and net income of ¥38.69 million suggest a narrow margin profile.

Geographically, SIOS Corp's revenue is concentrated in Japan, with no disclosed international segments. The company's exposure to domestic economic conditions and regulatory changes in Japan could impact its growth trajectory. No material revenue diversification is evident in the latest financials.

Growth expectations for the current fiscal year are modest, with revenue expected to remain stable. The company's historical revenue of ¥6.41 billion in the latest period aligns with analyst estimates of ¥19.06 billion, suggesting a potential discrepancy in reporting or estimation. The outlook for the next fiscal year remains uncertain, with no clear directional guidance provided.

Risk factors for SIOS Corp are currently low, with no immediate liquidity or dilution concerns identified. The company's low debt load and strong cash position reduce financial risk. However, the high price-to-earnings ratio of 130.64 and price-to-book ratio of 4.2 suggest potential overvaluation, which could be a concern for investors.

Recent filings and transcripts do not indicate any material events or strategic shifts. The company's focus remains on its core software and IT services, with no disclosed major investments or divestitures in the latest period.

Operating income surged 504.6% year-over-year to JPY 397 million, signaling a strong operational turnaround.

Return on equity of 3.21% exceeds the software cohort median of 2.8%, indicating superior capital efficiency.

Long-term debt decreased significantly to JPY 47.2 million, reducing financial leverage and associated interest risks.

Revenue grew 4.9% annually over four years, demonstrating consistent top-line expansion despite recent volatility.

The company maintains low dilution, liquidity, and credit risk flags, suggesting a stable financial foundation.

Net income declined 9.0% year-over-year, showing a reduction in bottom-line earnings despite operational improvements.

Revenue ¥5.45B, +12,6% YoY; Operating income +2,9% YoY.

• ▍Revenue ¥5.45B, +12,6% YoY
• ▍Operating income +2,9% YoY
• ▍Net income −76,8% YoY
• ▍Net margin 1.5%

Revenue ¥4.12B, +5,3% YoY; Operating income +201,6% YoY.

• ▍Revenue ¥4.12B, +5,3% YoY
• ▍Operating income +201,6% YoY
• ▍Net income +421,1% YoY
• ▍Net margin 2.8%

Revenue ¥4.49B, −16,8% YoY; Operating income +635,6% YoY.

• ▍Revenue ¥4.49B, −16,8% YoY
• ▍Operating income +635,6% YoY
• ▍Net income +631,7% YoY
• ▍Net margin 1.8%

Revenue ¥4.99B, −22,1% YoY; Operating income −44,5% YoY.

• ▍Revenue ¥4.99B, −22,1% YoY
• ▍Operating income −44,5% YoY
• ▍Net income +0,5% YoY
• ▍Net margin 0.8%

Revenue ¥4.84B; Operating income ¥130.6M.

• ▍Revenue ¥4.84B
• ▍Operating income ¥130.6M
• ▍Net margin 7.5%

Revenue ¥3.91B; Operating income -¥137.8M.

• ▍Revenue ¥3.91B
• ▍Operating income -¥137.8M
• ▍Net margin -0.9%

Revenue ¥5.40B; Operating income ¥12.1M.

• ▍Revenue ¥5.40B
• ▍Operating income ¥12.1M
• ▍Net margin -0.3%

Revenue ¥6.41B; Operating income ¥60.8M.

• ▍Revenue ¥6.41B
• ▍Operating income ¥60.8M
• ▍Net margin 0.6%

Revenue ¥19.06B, −7,3% YoY; Operating income +504,6% YoY.

• ▍Revenue ¥19.06B, −7,3% YoY
• ▍Operating income +504,6% YoY
• ▍Net income −9,0% YoY
• ▍Free cash flow −37,6% YoY
• ▍Net margin 1.7%

Revenue ¥20.56B, +29,4% YoY; Operating income +126,4% YoY.

• ▍Revenue ¥20.56B, +29,4% YoY
• ▍Operating income +126,4% YoY
• ▍Net income +1 962,8% YoY
• ▍Free cash flow +406,4% YoY
• ▍Net margin 1.7%

Revenue ¥15.89B, +10,2% YoY; Operating income +54,0% YoY.

• ▍Revenue ¥15.89B, +10,2% YoY
• ▍Operating income +54,0% YoY
• ▍Net income +97,0% YoY
• ▍Free cash flow +88,2% YoY
• ▍Net margin -0.1%

Revenue ¥14.42B, −8,3% YoY; Operating income −232,2% YoY.

• ▍Revenue ¥14.42B, −8,3% YoY
• ▍Operating income −232,2% YoY
• ▍Net income −274,0% YoY
• ▍Free cash flow −322,7% YoY
• ▍Net margin -4.4%